Arkansas Signs $70 Million Medicaid Contract Extension With HP

October 19, 2011

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The Arkansas Department of Human Services (DHS) Division of Medical Services has extended its long-time service agreement with HP to manage the state’s Medicaid program.The $70 million, 27-month contract will assist the state in preparing for healthcare reforms and other pending changes while helping align Medicaid expenses with state revenues.

As the fiscal agent for Arkansas since 1985, HP provides systems support and business process outsourcing services for the state’s Medicaid Management Information System (MMIS). HP will assist the state with healthcare reforms by implementing the American Recovery and Reinvestment Act HITECH electronic health record incentives and federal HIPAA 5010 requirements.

HP helps Arkansas manage Medicaid benefits for more than 770,000 Arkansans. The company processes more than 38 million claims worth more than $4 billion a year for about 30,000 Arkansas healthcare providers.

HP is the nation’s largest provider of Medicaid and Medicare process management services, the company says. HP administers $95 billion in benefits a year. It also serves as the fiscal agent or principal IT provider for Medicaid in 21 states.